If the reserve ratio was 10 percent for the bank with the balance sheet listed below, then this bank is being
?
Assets
?
?
Liabilities & Net Worth
?
Reserves
$2,500,000
?
Checking Deposits
$5,000,000
Loans Outstanding
$2,000,000
?
?
?
Total
$5,500,000
?
Net Worth
?
?
?
?
Stockholders’ Equity
$500,000
?
?
?
Total
$5,500,000
A. aggressive as indicated by a small amount of excess reserves.
B. aggressive as indicated by a large amount of excess reserves.
C. cautious as indicated by a small amount of excess reserves.
D. cautious as indicated by a large amount of excess reserves.
Answer: D
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The equilibrium price in a market occurs where the:
A) market demand and the firms' average cost curves intersect. B) market supply and the firms' average cost curves intersect. C) market demand and the market supply curves intersect. D) market supply and the firms' revenue curves intersect.
Which of the following is NOT considered to be a factor in the determination of a person's marginal productivity?
A) innate abilities such as high intelligence B) investment in human capital such as education C) on-the-job training D) the elasticity of supply of labor
According to the graph shown, the long-run output decision for this firm is:
This graph represents the cost and revenue curves of a firm in a perfectly competitive market.
A. Q1, P1.
B. Q1, P2.
C. Q2, P1.
D. Q3, P3.
Related to the Economics in Practice on page 239: All else equal, more highly educated people are ________ than those who have less education.
A. more likely to hold stock B. less likely to hold stock C. always going to earn more from investing in stock D. no more or no less likely to hold stock